Long-Haul Trucking Company Saves Nearly $1 Million In Year One
For years their risk profile improved, their broker never challenged the market, and their premiums reflected neither
THE CLIENT
A long-haul flatbed trucking company based in Texas, specializing in hauling oilfield equipment across the United States, the client has 57 units and over 20 years in business, making them a cornerstone of the oilfield logistics industry.
THE SCENARIO
The company had been with the same carrier for over a decade, operating under the assumption that long-term loyalty was being rewarded with competitive pricing. Following the passing of the company's original owner, new management recognized a need to evaluate their insurance spend. Rising premiums relative to peer benchmarks, combined with a significant shock loss four years prior, had driven costs to unsustainable levels. Their story was not being communicated to the market, and their broker was not advocating on their behalf.
DISCOVERY
We conducted a thorough review of the client's current policies, five years of loss runs, and historical premium data. The numbers didn't add up. Despite a competitive carrier and improving safety metrics, premiums were disproportionately high. A deeper dive revealed that a $1M+ shock loss four years prior had never been contextualized to the market, and that new safety protocols implemented since then, which dramatically reduced claims exposure, were never being communicated to carriers.
SOLUTION
We went to market with the company's complete story, detailing the prior shock loss, root cause, leadership changes, and operational improvements made since. By accurately translating the company's current risk profile to carriers, we were able to generate competitive bids that reflected their improved safety record, resulting in a comprehensive re-evaluation of the insurance program and a dramatic reduction in total spend.
THE RESULTS
Our market approach delivered one of the most impactful outcomes possible for a growing trucking operation: a first-year savings of $800,000, reducing the company’s total insurance spend from $3.6 million to $2.8 million.
The results went beyond the bottom line. The company’s insurance spend as a percentage of EBITDA was cut nearly in half, falling from 17% to just 7%. That kind of structural shift doesn’t just save money, it fundamentally changes what a company is capable of. Freed-up capital means more units, more hires, and more growth.
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For the first time in years, the company had a broker who was actively fighting for them in the marketplace. And with that weight lifted, they could get back to doing what they do best, keeping America’s oilfields moving.